XRP Faces Critical Juncture as Bitcoin's Volatility Looms
XRP investors are on high alert as prominent crypto analysts warn that the digital asset's price could plunge below the psychological $1 mark, heavily influenced by Bitcoin's (BTC) upcoming price movements. This analysis arrives amidst a period of market uncertainty, suggesting that XRP's trajectory is deeply intertwined with that of its larger counterpart.
XRP's Potential Downside Linked to Bitcoin
Crypto analyst TARA has projected a scenario where a significant Bitcoin correction could trigger a substantial drop in XRP's value. According to TARA, should Bitcoin crash to $52,200, XRP's price would likely be dragged down to its .786 support level, settling around $0.87. This critical juncture at $0.87 also aligns with Bitcoin's .618 extension and a previously observed liquidity gap from an October 10 event. While XRP recently touched its .382 resistance at $1.53, TARA believes that Bitcoin's price "waves" appear incomplete, indicating potential further downside in the short term. She anticipates a BTC correction to $65,800 before a possible rebound to $75,400, which would inevitably impact XRP.
Dual Scenarios for XRP: Recovery or Further Decline
Another analyst, CasiTrades, offers a complementary perspective, identifying XRP as currently being in a "Wave 4 relief." This phase could see XRP testing the .5 retracement and macro .618 levels near $1.65, a point CasiTrades deems highly critical. A failure by XRP to convert this $1.65 level into a strong support would signal a "final wave down," targeting prices as low as $1.09 or even $0.90. However, CasiTrades emphasizes that this is not a moment for panic selling, noting that major lows have been reached, and there's still a chance the "final wave down" could fail, possibly leading to bullish divergence on the RSI. Despite these potential bearish short-term scenarios, a bullish long-term outlook remains, with macro Wave 3 targets for XRP still ranging from $7 to $9. At the time of this report, XRP is trading around $1.38, reflecting a more than 4% decrease over the last 24 hours.
